CARBONXT Launches a Non-Renounceable Pro-Rata Entitlement Offer and Placement to Raise up to $2.94M

Carbonxt Group Limited (Carbonxt or the Company) is pleased to announce that the Company has decided to launch a capital raise comprising of a placement to sophisticated and professional investors (Placement) and non-renounceable pro-rata entitlement offer to existing shareholders (Offer) to raise approximately $2.94m.

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Key terms of the Offer

The Offer will provide eligible Carbonxt shareholders the opportunity to apply for one new fully paid ordinary share (New Share) for every 9 existing fully paid ordinary shares (Shares) held as at 7.00pm (Sydney time) on Friday, 8 December 2023 (Record Date), at an offer price of $0.06 per New Share (Offer Price) (together the Entitlement).

It is anticipated that up to 30,588,764 New Shares may be issued pursuant to the Offer, which would raise approximately $1.84 million before expenses of the Offer.

The Offer is fully underwritten by Chaleyer Holdings Pty Ltd.

The Company will use the proceeds raised under the Offer to:

• provide funding to the Company for the development of the Kentucky Facility; and
• provide working capital to the Company generally (including to fund the costs of the Offer).

The Offer price represents:

• a 7.7% discount to the last closing price of $0.065 on 1 December 2023;
• a 11.4% discount to the 10 trading day Volume Weighted Average Price (VWAP) up to and including 1 December 2023.

The Offer is open to Carbonxt shareholders with registered addresses in Australia and New Zealand as at the Record Date. Shareholders at the Record Date without a registered address outside Australia and New Zealand will not be eligible to participate in the Offer.

Existing holders of options and warrants will not be able to participate in the Offer unless they exercise their options and become a registered holder of Shares (upon exercising their options) prior to the Record Date.

The Offer will include a top-up facility that allows eligible shareholders to apply for additional New Shares in excess of their Entitlements, to the extent that there are sufficient amount of New Shares not taken up by other Eligible Shareholders.

The New Shares issued pursuant to the Offer will rank equally with the existing issued Shares of the Company and are expected to be quoted on the ASX.

More information regarding the Offer is set out in the Offer documents, which will be despatched to eligible shareholders in accordance with the timetable set out below.

The Offer documents will be accessible today from the ASX and Carbonxt's website, www.asx.com.au and www.cglimited.com respectively.

Click here for the full ASX Release

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